True Forecasts: Where California Real Estate is Heading

March 7, 2025

True Forecasts: Where California Real Estate is Heading

California Home Prices Continue to Rise

Over the past decade, California home prices have surged by an astounding 70%, and this trend is expected to continue through 2030. As demand outpaces supply, particularly in high-growth metropolitan areas, homeowners and investors alike will see significant appreciation in property values. True Property Management has observed that buyers are still entering the market despite rising costs, ensuring sustained growth across the state.

Multifamily Housing Demand on the Rise

With affordability concerns mounting and zoning regulations evolving, the demand for multifamily housing is projected to increase by 50% by 2030. Cities like Fullerton are at the forefront of this shift, adapting policies to encourage high-density living solutions. As more residents seek cost-effective rental options, True Property Management advises investors to consider multifamily properties as lucrative long-term assets.

Learn More About Fullerton’s Ambitious Housing Plan 


ADU Construction Booming

Accessory Dwelling Unit (ADU) construction is expected to surge, boosting California’s rental housing supply by 25% by the end of the decade. This shift is largely due to relaxed regulations that allow homeowners to maximize their property’s potential. Fullerton and other cities are embracing ADU development, providing homeowners with an opportunity to generate passive income while addressing the state’s housing shortage.

Learn More About ADU’s


Energy-Efficient Homes Lead the Market

Sustainability is becoming a key factor in real estate, with energy-efficient homes selling 10% faster and commanding premium prices. Buyers are prioritizing properties with solar panels, smart home technology, and eco-friendly designs. True Property Management predicts that green-certified homes will dominate listings, offering both environmental and financial benefits to homeowners.

Luxury Market Facing a Shift

The luxury real estate sector may experience a significant shift as aging homeowners begin selling off high-end properties. This influx of inventory could reduce luxury home prices by 10-20%, creating rare opportunities for buyers looking to enter the high-end market. True Property Management advises potential investors to monitor these trends closely, as luxury real estate could become more accessible in the coming years.

Kurt Galitski

Principal, Broker

(949) 688 7705 | DRE #: 01348644

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2919 Newport Blvd, Newport Beach, CA 92663

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